PANEL SESSION # 3 CAPACITY BUILDING AND COOPERATION Oct. 13th 2014, Korea 1

Pioneered Ecotourism since 1975 A world leader in Sustainable Development Holistic approach: Research → Conservation + Education = Economic Growth Added value in rural areas Better quality of life for every living being Luxury standards: Native materials + Sense of place Authenticity and Uniqueness Inkaterra Reserva Amazónica (Amazon Rainforest) World’s 25 Best Ecologdes by National Geographic Traveler (2013) Best lodge in the Amazon Basin, Latin American Travel Association (UK) Inkaterra Hacienda Concepción (Amazon Rainforest) The Best New Hotels in the World, Condé Nast Traveler’s Hot List 2012 Inkaterra Machu Picchu Pueblo Hotel (Andean Amazon Cloud Forest) Travel+Leisure World Best Hotels (2014) Inkaterra La Casona (Cusco City High Andes) First Relais & Châteaux property in Peru ONGOING PROJECTS Inkaterra Hacienda Urubamba (Midway from Cusco to Machu Picchu) Overlooking the Sacred Valley of the Incas Casa Hacienda and 24 Casitas Cabo Blanco (Pacific Ocean and Desert) Inkaterra Cabo Blanco – opening 2016 World records: Marlin (1,560 pounds) and Big Eye Tuna (434 pounds) Proposed first marine reserve area in Peru 2 INKATERRA - PERU Inkaterra Reserva AmazónicaInkaterra Machu Picchu Pueblo HotelInkaterra La Casona

RESEARCH ONSERVATION EDUCATION POSITIVE MEASURABLE FOOTPRINT (World Records) LOCAL IMPACT ( local people trained since 1975) SENSE OF PLACE + FACTUAL INFORMATION (World Awards) ENGAGING EXPERIENCE FOR VISITORS + ACADEMICS (200,000 pax. 2014) INKATERRA’S RESPONSIBLE TRAVEL APPROACH SINCE 1975 SUSTAINABILITY 3

GEF – IFC OUTCOMES INKATERRA ASOCIACIÓN (ITA) 4 NGO working on research for conservation and sustainability Scientific research since Sustainable development via ecotourism. Benchmark to compare Inkaterra’s future impact in areas of influence researchers sponsored by Inkaterra. Global Environment Facility (GEF) first loan to the private sector, via World Bank Group (IFC). Manual de Agroforestería (Inkaterra Asociación) and ACCA 2014) Cusco Amazónico: The Lives of Amphibians and Reptiles in an Amazonian Rainforest (Cornell University Press, 2005) Flórula de la Reserva Ecológica Inkaterra (Missouri Botanical Garden and Inkaterra Asociación, 2007)

ENGAGING CIVIL SOCIETY AND ACADEMIA IN PARTNERSHIP BUSINESS Contribution to the creation of laws to preserve ecological reserves First Private Ecological Reserve (1979). Alliance with local and international universities and institutions researchers sponsored by Inkaterra Since Volunteer programs for research, conservation and community development in Madre de Dios - Tambopata. ITA Field Stations: Rainforest / Cloudforest / High Andes / Coastal Desert. Lodging for researchers Students + Volunteers. ITA scholarship: Ants / Fungus. ITA Field Station 5

JOB CREATION FOR LOCAL EMPLOYEES LOCAL SUPPLIERS ENVIRONMENTAL WORKSHOPS & CONFERENCES EXPLORER GUIDES TRAINING SCHOOL SUPPORT OF LOCAL INSTITUTIONS ENGAGING LOCAL COMMUNITIES INKATERRA 6 International Training Programs Educational Tools: Field Guides Environmental Conservation workshops

ENGAGING LOCAL COMMUNITIES 4,000 + local people trained since 1975 Improvement of local resource management skills Increase in communities’ agriculture and handcraft productivity Career opportunities to achieve management or administration positions Pleasant work environment and appropriate conditions according to law Local employeesExternal employeesTotal employees Inkaterra Reserva Amazonica58%42%100 Inkaterra Machu Picchu Pueblo Hotel 79%21%161 Inkaterra La Casona94%6%47 Inkaterra Hacienda Concepcion 77%23%29 El MaPi byInkaterra77%23%100 7

3 Generations of local families are part of Inkaterra Vargas Family 1 st generation – Juan Vargas (1975) 2 nd generation - Samuel, Hugo and Juan Vargas (1985) 3 rd generation - Ever Vargas (2009) Percy Ccopa Explorer Guide, Leader Explorer Guide, Chief Explorer Guide, 2012 Resident Manager, 2013 – up to date Gloria Neyra Senior receptionist, 2007 Chief receptionist, 2007 – 2008 Deputy Resident Manager, 2008 Office Administrator, 2011 Resident Manager, 2012 – up to date ENGAGING LOCAL COMMUNITIES 4 Generations of Herpetologists (Kansas University and Colorado Boulder) William Duellman & Linda Trueb – 80s Eric Wild – 90s Sara Orlofske – 2000 Robert Jadin – Generations of Botanicals (Missouri Botanical Garden/ UNSAAC) Alwyn Gentry – 80s Percy Nuñez – 90s Luis Valenzuela – 2000 Gloria Calatayud –

BENEFITS AND MEANS OF ENGAGING WITH LOCAL COMMUNITIES ENVIRONMENTAL AWARENESS & CONSERVATION Traditional knowledge transfer Native architecture + materials = Sense of original place POSITIVE FOOTPRINT Primary Forest Carbon Monitoring since 1989 Inventories and sustainable use of gene bank GOOD PRACTICES IN CONSERVATION & TOURISM Forest research + restoration Local jobs ECONOMIC SUSTAINABILITY New sustainable tourism destination Profits = long term replicability EXPERIENTIAL TRAVEL Authenticity & Uniqueness Ecotourism improves quality of life Forest RestorationLow Impact excursionsEnvironmental AwarenessEducational plates 9

SUSTAINABLE PROCUREMENT AND SUPPLY CHAIN MANAGEMENT AGROFORESTRY DESIGN Determines location of forestal, nutritional species for organic production PLOTTING WORKSHOP Adequate land use by local communities NATIVE FARM Organic Production – Carbon Free Traditional Farming tools HARVEST & PROCESSING Supply to Inkaterra hotel restaurants for visitors consumption FINAL PRODUCT Cacao Brazilian Nut Organic Tea Honey Quinoa Chia Potatos Corn 10

Inkaterra’s Responsible Tourism approach leads the basis for a tourism replicable model at national level based on the following conditions: SUSTAINABLE PROCUREMENT AND SUPPLY CHAIN MANAGEMENT 11 Inkaterra´s Replicable Model Low initial investment Research & Conservation Sustainable initiatives and good practices Education & knowledge transfer Local involvement Authentic Experience (Excursions, lodging)